Q8 Loser

Shopping for car insurance? There are quite a variety of choices around. Each company has their own fee structure and a reputation that must be checked before your final decision is made. Where to start?

We recommend starting with opinions from your friends and family. Ask them who they use. Find out whether they have ever filed a claim. How was the claim handled? Was it satisfactory? Or did they get a run around? Is the car paid for? How much is it currently worth? All of these questions will help you to find the best car insurance for you.

Generally, if the car is paid for and the replacement cost is minimal, you can go with whatever the legal minimums for insurance are in your state. However, if you owe money on the car or it would cost significantly to replace it in case of an accident, you will want to choose full coverage insurance, not just the minimum liability insurance.

When you find the names of a few companies you’d like to contact, get their rates. Are you eligible for any discounts by virtue of being a veteran, over a certain age, or having had defensive driving or a car security system? Make a list of the companies and their rates and discounts on paper or on your computer so that you can easily compare them to one another. Provide a space for notes about the company like, “Aunt Mabel filed a claim and they paid within 10 days” or “Uncle Henry filed a claim and they have asked him for additional paperwork several times for the last 6 months and the claim remains unpaid.”

Add to that your own gut feeling about the company. Did you like the representative you spoke with? Did they seem to know their products? Were they courteous? Did they take enough time answering your questions and being sure you understood the answers? Or did they cut you off, maybe answering a question you didn’t even ask?

All of these factors must be weighed into your decision. Eventually, one or two companies will emerge as the forerunners and you can make a choice, perhaps based on price, perhaps based on customer service. Myself, I will pay a little more for the company that hired courteous, efficient customer service reps. Use your best judgment, though. Car insurance is important. It pays to take time to make a good decision!